Multiple Sources Make More Accurate Business Credit Scores
Business credit scores come in a variety of flavors from many different sources. All of the big business credit bureaus - Experian, Dun & Bradstreet and Equifax - provide complex statistical models designed to predict how a customer is likely to pay you in the future. There are even industry-specific scores for many industries.
Then, there are scores that blend credit information from multiple credit bureaus, such as the Credit Logic Score from Business Credit Reports.
Credit scores, no matter how well built, are largely dependent on the information used. A single source may have only one or two tradelines which may not even render a score. Multiple sources provide more views of a company, giving the score a more complete picture, which makes the score more relevant and predictive. Business credit scores that leverage information from multiple sources perform better than similar scores that use only one source.
Well-designed business credit scores using multiple sources will enable you to approve more good deals and can save millions of dollars in losses and operational costs. Scores that consider multiple information sources are more powerful, relevant and predictive.